ISLAMABAD: The Ministry of Commerce has initiated efforts to formulate a unified national strategy in response to the United States’ imposition of a 29% reciprocal tariff on imports from Pakistan, triggered by a $2.99 billion trade imbalance. The move has alarmed exporters, particularly in the textile and apparel sector, which made up over 76% of Pakistan’s $5.12 billion exports to the US in 2024.
A high-level Pakistani delegation led by Secretary Commerce Jawad Paul is set to visit Washington for negotiations. To ensure policy alignment, a working group under the Commerce Ministry and a steering committee headed by Finance Minister Muhammad Aurangzeb have been formed, with instructions to centralize all communications with US authorities.
Commerce Minister Jam Kamal Khan recently met exporters from key sectors to gather input. The private sector pledged full cooperation, with the All Pakistan Textile Mills Association (APTMA) suggesting targeted steps to ease tensions, such as substituting US cotton imports for others and allowing direct LNG imports for the textile sector.
However, the US remains concerned over broader trade and investment barriers in Pakistan, including inconsistent customs practices, corruption, internet shutdowns, and restrictive digital policies—issues that continue to impact American businesses operating in the country.
